WEDNESDAY, DECEMBER 21, 1983
3
+OFFENSIVE+ TAX PROVISIONS REMOVED
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THREE UNOFFICIAL MEMBERS SAID IN THE LEGISLATIVE COUNCIL TODAY THAT THE INLAND REVENUE (AMENDMENT) (NO. 5) BILL REMOVED THE PROVISIONS DEEMED TO BE OFFENSIVE TO WOMEN FROM THE ORDINANCE BUT FAILED TO MEET THE REQUEST FOR SEPARATE TAXATION.
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THE THREE DR THE HON HO KAM-FAI, THE HON MARIA TAM AND THE HON PETER POON - WERE SPEAKING ON THE PROPOSALS INTRODUCED BY THE BILL THEY, HOWEVER, SUPPORTED THE MOTION.
DR HO SAID, THEY SEEK TO REMOVE THE PROVISIONS DEEMED TO BE OFFENSIVE TO WOMEN FROM THE ORDINANCE AND PERMIT SPOUSES TO MAKE TAX RETURN JOINTLY WITH EACH SPOUSE BEING RESPONSIBLE FOR HIS OR HER SHARE OF THE TAX LIABILITY.+
*THE EFFECT WILL BE TO REMOVE THE STIGMA AND SEEMINGLY SECOND- CLASS STATUS HITHERTO ATTACHED TO THE WORKING WIFE. SHE WILL IN THE FUTURE FUNCTION AS A FULL-FLEDGED INDEPENDENT MEMBER OF THE FAMILY. BEING FULLY RECOGNISED FOR HER ECONOMIC CONTRIBUTIONS AND FULLY RESPONSIBLE FOR HER FINANCIAL OBLIGATIONS.+
THESE CHANGES, DR HO ADDED, WOULD MEET THE ASPIRATIONS OF WOMEN IN PARTICULAR AND BRING THE ORDINANCE IN LINE WITH DEVELOPMENTS OF THE COMMUNITY IN GENERAL, BUT WOULD STILL PRESERVE THE TRADITIONAL CONCEPT OF THE FAMILY UNIT AS THE FISCAL UNIT OF CHARGE.
ON THE POTENTIAL FINANCIAL GAIN DERIVED FROM SEPARATE ASSESSMENT, DR HO NOTED THAT THE BILL DID NOT ADDRESS ITSELF TO IT.
HE SAID THAT THE FINANCIAL SECRETARY HAD MADE IT LOUD AND CLEAR IN HIS INTRODUCTORY SPEECH THAT THE PROPOSAL WOULD NOT GIVE RISE TO ANY SAVINGS IN THE TOTAL TAX PAYABLE BY THE FAMILY UNIT,
+HOWEVER, IF THE HUSBAND AND THE WIFE WERE TAXED SEPARATELY, THE FINANCIAL SECRETARY HAS ESTIMATED IN MARCH 1983 THAT IN THE YEAR OF IMPLEMENTATION, THE COST COULD BE IN THE ORDER OF $285 MILLION,+ HE SAID.
DR HO - SUPPORTING THE MOTION - ADDED THAT THIS WAS NOT AN INSIGNIFICANT SUM TO FOREGO FOR THE ANNUAL BUDGET, AND WAS ALMOST EQUIVALENT TO THE GOVERNMENT SUBVENTIONS TO SOCIAL WELFARE SERVICES PROVIDED BY THE VOLUNTARY AGENCIES FOR 1983-84.
THE SHORTFALL IN REVENUE MIGHT HAVE TO BE RECOUPED EITHER BY INCREASES IN TAX RATES OR BY NEW TAXES, WITH THE EFFECT OF PASSING THE TAXATION BURDEN BACK ONTO THE TAX-PAYING PUBLIC, HE WARNED.
+THEREFORE ANY SUCH PROPOSALS HAVE TO BE CONSIDERED IN THE WIDER PERSPECTIVE, WITH DUE REGARD TO THE PREVAILING FISCAL CONDITIONS AND THE LONG-TERM PERFORMANCE OF OUR ECONOMY, HE SAID.
/RECALLING HER